Ethereum’s validator exit queue has collapsed to 0 ETH as staking demand accelerates sharply, signaling reduced sell-side pressure and stronger conviction among yield-focused ETH holders. According to Ethereum Validator Queue data, the exit queue has dropped from 2.67 million ETH to Zero ETH, while the staking entry queue has climbed to about 2.6 million ETH, the highest backlog since July 2023. Consequently, new validators now face wait times of nearly 45 days, while exit requests clear within minutes.
This divergence reflects a clear shift in market behavior, as ETH holders increasingly commit to staking by locking tokens rather than preparing to exit, tightening circulating supply and limiting immediate trading availability.
Entry Queue Surge Highlights Shift Away From Selling Pressure
Analysts tracking onchain activity say the expanding entry queue strengthens Ethereum’s supply-demand balance. Leon Waitmann, head of research at Onchain Foundation, stated that the queued validator activation would lift Ethereum’s staking rate and described the setup as supportive for ETH in the coming months.
Institutional participation has contributed meaningfully to the inflows, as staking yields near 2.8 percent APR continue to attract yield-focused investors. Additionally, rising corporate involvement has added scale and consistency to recent staking deposits. BitMine Immersion Technologies, chaired by Tom Lee, has staked more than 1.25 million ETH, representing over one-third of its total Ether holdings. Such allocations signal confidence in Ethereum’s long-term staking model rather than short-term price movements.
Nearly Half of ETH Supply Now Locked in Staking Contracts
Broader metrics reinforce the trend toward long-term commitment, as Santiment reports over 46.5% of total ETH sits in the proof-of-stake contract. That share equals about 77.85 million ETH worth nearly $256 billion, leaving almost half of Ether locked in network security.
Beaconcha.in data shows total staked ETH near 36.1 million, representing roughly 29% of total supply across the network. Additionally, the rising staking share suggests fewer ETH tokens remain liquid on exchanges.
Despite these structural shifts, ETH’s market price remains below previous highs, with Ether near $3,300. That level still trails the $4,946 all-time high, although the empty exit queue limits immediate withdrawal-driven pressure.
Overall, the zeroed exit queue and expanding entry backlog point to stronger confidence in Ethereum staking. As more ETH moves through the staking pipeline, supply constraints may continue shaping broader market conditions.